As Europe and the rest of the world wakes to the shock of the UK leaving the EU, what will Brexit mean for productions filming in the UK and UK productions filming abroad?
Before the final votes have been counted, the value of the British Pound (GBP) fell against the US Dollar (USD) to a level not seen in 31 years. Expectations are US and Asian markets will continue the downward trend as investors seek to move to safe-haven assets.
That’s good news for visiting productions who will see big cost savings if they can lock in favourable rates, as well as the British fixers and service companies that host them. Not good news for British productions heading to film abroad. Prolonged extreme volatility in the GBP may lead to a temporary slowdown of productions flowing either way as productions seek to hold off for some signs of currency stability.
The months to come will also show us if the fears of Brexit creating downward pressure on global markets come true. If the Brexit shock sends the global economy into recession this can be expected by extension to also hit both productions looking to film in the UK and UK productions looking to film abroad.
At this stage the longer-term outcome of Brexit is anyone’s guess. Uncoupling from the European Union will take many years and the final result depends on many unknowns. Will the EU now impose new rules that restrict trade and travel with the UK? Would the UK respond with protectionist policies? If Europe seeks to move its financial capital from London to the continent, how will that impact London’s status as a global wealth centre? Will brands from the rest of the world still see London as the launch pad for their marketing into Europe? Much remains to be seen.
In the meantime, the UK remains one of the world’s best film centres with a wealth of specialised crew and equipment, much sought after film locations, impressive purpose-built studios, and a great depth of talent. That will not change any time soon.
For more information on filming in the UK or if you are a UK film company looking to film abroad, please feel free to contact us.